Signing that dotted line for a 25 year mortgage was more than just a commitment to the biggest purchase most people make in their life…
It was also a commitment to making a home together for the family.
A commitment to a dream of home ownership and the sense of success it brings.
It was a commitment to the freedom of becoming mortgage free – the holy grail of personal finance!
And yet when that last payment is made and that step is taken into becoming mortgage free it’s never as grand as what we imagined it would be.
And while you’re not expecting to be showered in confetti and the ‘congrats’ from friends and family is nice, a question that seldom gets asked is this:
What has paying off your house ACTUALLY gotten you?
One less major payment a month…sure!
Most likely 500K+ of equity…absolutely!
An asset you can truly say is yours…100%!
And by the time all of those things are a reality many people are at or so close to retirement that their change in monthly expenses ends up being offset by their lowered income.
Over and over again, I see people who own their homes free and clear but have very little cash to enjoy.
No money to live on or not enough for the life they want to live.
In essence, they were so focused on paying off a house, they missed building a life.
This is how many people mistakenly lose when becoming mortgage free.
Winning a game you didn’t want to play isn’t really winning.
Most people want to live a life where they enjoy the fruits of their labor (have cash on hand to spend on the things they enjoy) which is the real game they wanted to play.
But the game they end up winning is paying off a house.
Winning that game for many people gets you the unfortunate realization that you can’t buy groceries with equity.
The good news is that same equity can be the leverage to ACTUALLY get cash by moving from homeowner to real estate investor.
It’s what got me out of debt, into empowerment and ultimately what I am most passionate about:
Helping people win the game they want to play
If that resonates with you, reply back and we can jump on a call and see what that looks like for you =)